The Conference Board of Canada says “let the good times roll” in Saskatchewan after the agency released its Provincial Outlook – Autumn 2011 report.
Real gross domestic growth in the province will increase by a brisk 5.1 per cent in 2011 according to the report, the fastest growing provincial economy in Canada.
That growth is being fueled by continued development of the potash industry and steady expansion in oil and gas extraction.
Oil and gas extraction is expected to grow by 3 per cent in 2012 and 2013 while non-metal mining output should see double-digit growth until 2014.
Get breaking National news
Saskatchewan’s Enterprise Minister Jeremy Harrison says the report confirms the strong economic growth the province has experienced.
“Saskatchewan is experiencing its strongest growth, both economically and population-wise, in history,” said Harrison.
“Much of the growth is due to our resource sector, which is investing in Saskatchewan for the long-term.”
The Board also says agriculture is set to expand 7.3 per cent in real terms this year despite the negative impact of spring flooding, unemployment will average less than 5 per cent and the government is set to record a fiscal surplus.
The Conference Board says economic growth will slow down to 2.8 per cent in 2012 before accelerating to 4.0 per cent in 2013 with only Alberta outpacing Saskatchewan in terms of GDP growth in those two years.
However, the report does come with a caution over Europe’s sovereign debt crisis.
“Despite little direct exposure to European markets, provincial economies would be affected if the EU sovereign debt crisis spread globally,” said Marie-Christine Bernard, Associate Director, Provincial Forecast.
“As a result, risks to the forecast remain elevated.”
Comments
Want to discuss? Please read our Commenting Policy first.